5 Important Types of Construction Estimates You Can Consider

There are a variety of reasons why construction cost estimates are important. First of all, they provide you with a brief overview of construction project budgets and ensure that you complete the projects on time and within budget.

If you don't have detailed estimates of construction costs, it can be difficult to determine how much a certain project will cost you or whether it is a feasible option to pursue. Various construction estimates are used to help plan and budget for the project, and each has its pros and cons. Here are five important types of construction estimates commonly used:

1. Preliminary cost estimate: The first step in estimating a project's cost is usually a preliminary cost estimate. This estimate helps determine if a project is feasible and is commonly used for simpler projects with minimal information. It should be utilized throughout the project lifecycle to control costs.

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2. Quantity cost estimate: Next on the list is the estimate of the quantity cost. A quantity cost estimate provides a more precise estimate based on a complete understanding of the project. This estimate requires an advanced methodology centered on a more comprehensive collection of project drawings and specifications.

3. Bid cost estimate: The estimated cost of bidding is the most precise estimate type and is based on a comprehensive set of details. In this estimate, the project's blueprints and requirements are utilized to develop a detailed summary of the expenses related to the project.

4. Control cost estimate: A control estimate is crucial for keeping track of a project's progress. Its goal is to provide a true evaluation of the project's current costs and identify possible cost overruns. The contracted budgeted cost includes expenses for materials, labor, and overhead.

5. Detailed estimate: A detailed estimate breaks down all project costs, including the quantity of work necessary, materials required, and labor expenses. These estimates often help to track the progress of the project. Contractors who win or bid on contracts perform detailed estimates. It can help you set expectations and ensure the contractor you hire can complete your project as you imagine.

Understanding these various estimates used in construction projects will make the process easier for you.

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